Invitation to participate in Markaz bonds due 2021

Kuwait Financial Centre “Markaz” [KSE: Markaz, Reuters: MARKZ.KW, Bloomberg: MARKAZ: KK] announced a net profit of KD 4.02 million for 2014, a net profit of 8 Fils per share as compared with a net profit of KD 6.23 million (13 Fils per share) during the same period in 2013. Markaz return from Management Fee has increase by 18%, to reach KD 7.58

Markaz’s total assets under management (AUM) reach KD1.089 billion (Excluding National Real Estate Portfolio) as of December 31st, 2014, with an increase of 11.7% compared to the AUM during the same period.

Markaz Board of Directors recommended a cash dividend of 6% of share par value, which is 6 Fils per share to shareholders on record as of the date of the General Assembly.

Markaz Chairman, Mr. Diraar Y. Alghanim, said “Although Markaz posted positive returns in 2014, the performance of GCC stock markets adversely affected the growth of our profit. Our diversification policy mitigated the volatility of the markets during the year and Markaz products continued to perform with positive returns. Meanwhile, Markaz’s Assets Under Management (AUM) continued to steadily grow; the growth was contributed from most of our investment products’ range, and was a result of the consistent performance of our Funds.”

Mr. Manaf Alhajri, CEO of Markaz added: “The decline in net earnings compared with last year came during the 4th quarter because of the decline in values in all the regional capital markets, which was triggered by the sharp drop in oil prices. These unrealized losses were partially offset by favorable results from our real estate and investment banking activities.”

In 2014, Markaz received “Best Asset Manager in Kuwait” award from Global Investor Magazine; it is the fifth consecutive year Markaz wins this award. Markaz also won two “Best Investment Bank in Kuwait” awards from Euromoney and Global Finance. Euromoney’s 2014 Award for Excellence recognized Markaz for the second consecutive year based on demonstrated breadth of capabilities and excellence in execution of client mandates across debt market transactions, equity transactions, mergers and acquisitions, and advisory work.

In December 2014, Capital Intelligence, the international rating agency, affirmed the rating of Markaz debenture bond at ‘BBB’. The rating reflects Markaz's well established franchise and its conservative business model, supported by Markaz’s good liquidity position, its low leverage and its improved earnings in both 2013 and for the nine months to end Q3 2014. The agency classified the outlook on the rating as ‘Stable’, based on Markaz’s track record of building solid performing funds across asset classes and the reputation for being the best performing fund manager on a risk-adjusted basis.

-The End-

About Kuwait Financial Centre “Markaz”
Kuwait Financial Centre K.P.S.C “Markaz”, with total assets under management of over KD 1.08 billion as of December 31, 2014, was established in 1974 has become one of the leading asset management and investment banking institutions in the Arabian Gulf Region. Markaz was listed on the Kuwait Stock Exchange (KSE) in 1997.